Samsung is building a factory in Saudi Arabia

 Samsung Engineering said today, Wednesday, that it has signed a $ 650 million deal to build a petrochemical plant in Saudi Arabia.

The deal was struck between Samsung Engineering, a plant construction unit of the Samsung Group, and the global advanced investment company AGIC, a subsidiary of the petrochemical provider.

Under the deal, Samsung Engineering will build a propane dehydrogenase (PDH) plant for the production of propylene and facilities in the second industrial zone in Jubail Industrial City on the eastern coast of Saudi Arabia.

The plant, which will be completed in 2024, is expected to produce 840,000 tons of propylene annually.

The Kingdom, along with the United States, is the largest petrochemical manufacturer in the world, with 14 Saudi companies producing an average of 95 million metric tons of petrochemicals, accounting for nearly 9% of global production.

However, during the past year 2020, the financial results of the petrochemical companies listed in the Saudi stock market revealed a significant decline in net profits, compared to the previous year, in light of 4 companies incurring net losses, and a sharp decline in SABIC's profits.

All the winning companies recorded a decline in net profits in 2020, compared to their profits for the year 2019, with the exception of the "Alujain" company, which increased its net profits to a limited extent.